The Financial Industry Regulatory Authority (FINRA) has launched a pilot program to provide mediation over the phone in simple cases.

FINRA said Wednesday that it would begin offering free, or reduced-fee, telephone mediation in certain cases. Participation is voluntary and open to cases involving claims of US$50,000 or less.

Mediators would serve on a pro bono basis on cases involving claims of US$25,000 or less in damages. Reduced-fee mediation (US$50 per hour) would be available on cases with damage claims between US$25,000 and US$50,000. FINRA will not charge any administrative fee for these cases.

“Telephone mediation is a lower-cost alternative, and would benefit dispute resolution forum users in many ways. Besides eliminating the travel and preparation costs typically associated with in-person mediation, telephonic mediation offers greater convenience and flexibility, and is a practical alternative for all parties involved,” said Linda Fienberg, president of FINRA Dispute Resolution.